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offence or, provided that the property is found to be under

of a third party with whom

the convicted person's control,

he

is closely connected.

5.

that:

Hong Kong argue for these new provisions. on the grounds

B

(a) the

Ordinance has provided since 1974 for a Court

to order a convicted Crown servant to repay to the

Crown any unexplained pecuniary resources

disproportionate

to

his

or

official

property

emoluments.

It has however proved extremely

difficult to execute such orders (only about 36% of

the total amount has been recovered) since the

convicted party may have so arranged his affairs as

to put these assets beyond the Court's reach. Hong

Kong have therefore concluded that the Courts must

be additionally provided with the power to order

the

confiscation of unexplained assets that a re

held by another party but are found by the Court to

be in the control of the convicted party.

(b) Hong Kong note that such powers exist in other

jurisdictions, such as the USA

with and Australia,

respect to the proceeds of drug-trafficking, and

the USA with respect to organised crime. Hong Kong

note also that the Hodgson Committee's Report on

"Profits of Crime and their Recovery" recommended

last year that similar powers of confiscation

should be generally available to UK Courts.

Arguments

and

6.

The

new measures that Hong Kong propose are severe,

we have considered them care fully with Legal Advisers.

Legal Advisers have concluded that there i s no legal

objection to the proposals: they observe that they do not

conflict with HMG's human rights obligations in respect of

Hong Kong, and that they are similar to proposals now being

formulated by

by the Home Office for dealing with the profits

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